Suresh Company reports the following segment (department) income results for the year. Department N Department 0 $ 37,000 $ 58,000 Department P $ 44,000 Sales Expenses Avoidable Unavoidable Total expenses Income (loss) Department Department M Keep Department N Department O Department P Department T Eliminate Decision Department M $ 65,000 Eliminate Keep Keep 10,800 52,600 63,400 $ 1,600 37,600 13,800 51,400 $ (14,400) 23,000 4,400 27,400 $ 30,600 15,000 30,600 45,600 $ (1,600) Department T $ 30,000 39,600 11,200 50,800 $ (20,800) 3. If the company plans to eliminate departments that have sales less than avoidable costs, which department(s) would be eliminated? Total $ 234,000 126,000 112,600 238,600 $ (4,600)

Suresh Company reports the following segment (department) income results for the viari If the company plans to eliminate departments that have sales less than avoldable costs, which deparmentis) would be liminated? Suresh Company reports the following segment (department) income resuits for tha was. Compute the total increase in income if the departments with sales less than avoidable costs, as identified in part a, are iminated